SCE&G Seeks Fuel Cost Adjustment from Public Service Commission of South Carolina
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Kim Asbill
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Columbia, S.C., Feb. 18, 2011—South Carolina Electric & Gas Company (SCE&G), principal subsidiary of SCANA Corporation (NYSE: SCG), today filed with the Public Service Commission of South Carolina (PSC) for an adjustment to the fuel cost portion of its electric rates.

The PSC and the South Carolina Office of Regulatory Staff annually review the costs SCE&G incurs in purchasing fuel to operate its electric generation facilities. Those costs are then recovered from customers through an adjustment to rates. SCE&G cannot earn a profit on that portion of its rates. If approved, the average bill for residential customers using 1,000 kwh per month will increase $1.93 or 1.56 percent – going from $124.03 to $125.96 beginning in May. Fuel costs currently represent about 30 percent of what a residential customer pays for a kilowatt hour of electricity.

“SCE&G has taken steps to minimize the cost of providing power, such as relying less on coal-fired plants and using more of the company’s natural gas-fired turbines while natural gas prices have remained relatively low,” said SCE&G President Kevin Marsh. “However, we are currently about $76.7 million undercollected on our fuel costs, which is why we’re seeking this adjustment.”

South Carolina Electric & Gas Company is a regulated public utility engaged in the generation, transmission, distribution and sale of electricity to approximately 661,000 customers in South Carolina. The company also provides natural gas service to approximately 314,000 customers throughout the state. More information about SCE&G is available at www.sceg.com.